Ocado has named Danish online supermarket Nemlig as the previously undisclosed European retailer behind its latest international technology deal.
The company will partner with Nemlig to build a new automated customer fulfilment centre near Copenhagen, which is expected to go live in 2028.
Nemlig, which Ocado described as Denmark’s largest pure-play online supermarket, recorded sales of DKK3.3bn in its 2025/26 financial year.
The Danish grocer plans to transfer its existing online order volumes into the new robotic warehouse once it opens, while continuing to operate its own ecommerce website and handle last-mile deliveries to customers.
Ocado first unveiled the agreement in July but did not disclose the identity of its new European partner at the time.
It said the site would use its latest automation technology and was expected to begin operating at just over half of its designed capacity as Nemlig moves existing volumes into the facility.
Speaking on the reveal, LMRE senior recruitment consultant and warehouse automation specialist, Cecilia George, notes that the partnership between the two companies seems like a natural fit.
“Nemlig appears better suited to a centralised CFC than some of the lower-density markets where Ocado’s North American partners have reduced capacity,” she told Retail Gazette.
“It brings established online demand to the facility, which is expected to open at just over half of its designed capacity. That reduces the volume ramp-up risk while leaving meaningful headroom for future growth.”
The original announcement sent Ocado shares up more than 12 per cent, providing a boost to its technology solutions division following a difficult period for the business.
Shares rose a further two per cent on Thursday following the confirmation of Nemlig as its partner.
Ocado is aiming to build momentum in its technology arm after key North American partners Kroger and Sobeys scaled back their use of its automated fulfilment centres amid weaker-than-expected online grocery demand.
It follows a separate agreement struck with Asda in May, which will see the supermarket use Ocado technology to support ecommerce fulfilment from its stores.
Speaking when the European deal was first announced last month, Ocado chief executive Tim Steiner said the agreement, alongside its Asda partnership, demonstrated growing demand for the group’s technology across different fulfilment models.
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